The best thing a value investor could expect

Target (TGT) got crashed today. It plunged 5% at opening but closed much better at only about -2%. What happened? If you care about news, you should have heard for weeks that Target had a security breach about its customers' credit information being stolen. It has since declined 15% from its recent high back in July 2013. Today, it just announced: "70 million Target shoppers: the people who stole your credit and debit card information also have your mailing address, email account and phone number." This is almost double the initial estimate that "only" 40 million customers were impacted. I'm afraid I may be one of the victims as I also have a Target RedCard.

Well, it is Target's nightmare but it is the "best news" for value investors. Target is a great value company in the retailer sector. It is not as big as Walmart but close and it is very profitable and consistently so. It is also paying a good and increasing dividend for decades. When a great company gets a short-term setback, it is the best time to get in for their better valuation. Believe me, this will certainly only be a short-term snafu for TGT. Nothing has changed it fundamentally. As long as you have a long term horizon, you should be happy to see what happens to TGT and back up your track to load up its shares. Don't miss it!